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In this paper, we propose a musical-noise-controllable algorithm for array signal processing with the aim for high-performance and high-quality noise reduction. Recently, many methods of integrating linear microphone array signal processing and nonlinear signal processing for noise reduction have been studied, but these methods often suffer from the problem of musical noise. In the proposed algorithm, channelwise spectral subtraction is applied before adaptive array signal processing. We also introduce a new automatic control algorithm to obtain the subtraction strength parameter used in the spectral subtraction, which depends on the amount of generated musical noise, measured by higher order statistics. We confirm the effectiveness of the proposed algorithm via objective and subjective evaluations.